Top 5 Industrials Stocks That May Collapse In May


The most overbought stocks in the industrials sector presents an opportunity to go short on these overvalued companies.

The RSI is a momentum indicator, which compares a stock's strength on days when prices go up to its strength on days when prices go down. When compared to a stock's price action, it can give traders a better sense of how a stock may perform in the short term. An asset is typically considered overbought when the RSI is above 70.

Here’s the latest list of major overbought players in this sector.

TuSimple Holdings Inc. TSP

  • TuSimple Holdings announced a restructuring plan for its U.S. operations and is no longer seeking strategic alternatives for its Asia Pacific subsidiaries. "As we relaunch TuSimple, we have taken a variety of factors into consideration including further deterioration of global economic growth, significantly reduced capital availability in the self-driving industry and redundant hardware availability," commented Cheng Lu, president and CEO of TuSimple. The company’s stock has a 52-week high of $10.8530 .
  • RSI Value: 76.12
  • TSP Price Action: Shares of TuSimple Holdings rose 16.3% to close at $1.93 on Tuesday.

Ryanair Holdings plc RYAAY

  • Ryanair Holdings reported FY23 revenue growth of 124% Y/Y to €10.78 billion. “Through A4E, and the EU, we are campaigning to accelerate reform of European ATC to eliminate avoidable flight cancellations/delays (something urgent in light of repeated French ATC strikes in Q1), which will substantially lower fuel consumption and CO₂ emissions,” commented CEO Michael O’Leary. The company’s stock has a 52-week high of $106.35.
  • RSI Value: 71.37
  • RYAAY Price Action: Shares of Ryanair Holdings rose 5.4% to close at $105.24 on Tuesday.

Southland Holdings, Inc. SLND

  • Southland Holdings posted upbeat first-quarter results. Southland’s President and Chief Executive Officer, Frank Renda, said, "Our first quarter results for 2023 reflect a good start to the year, with revenue increasing by 6% and margins expanding from 1.9% to 6.9% from the prior year." The company has a 52-week high of $11.14.
  • RSI Value: 70.74
  • SLND Price Action: Shares of Southland Holdings rose 4.4% to close at $8.81 on Wednesday.

Transcat, Inc. TRNS

  • Transcat posted better-than-expected quarterly results. "Despite macroeconomic headwinds and uncertainty, Transcat delivered strong performance across our entire business portfolio again in Fiscal 2023," commented Lee D. Rudow, President and CEO. The company’s 52-week high is $94.10.
  • RSI Value: 72.65
  • TRNS Price Action: Shares of Transcat rose 3.2% to close at $91.40 on Tuesday.

Liquidity Services, Inc. LQDT

  • Liquidity Services posted better-than-expected quarterly sales. "Our strong Q2 financial results demonstrate that we continue to deliver strong value for our customers and shareholders," said Bill Angrick, Liquidity Services CEO. The company has a 52-week high of $22.59.
  • RSI Value: 76.21
  • LQDT Price Action: Shares of Liquidity Services rose 2.8% to settle at $15.78 on Tuesday.

Read More: VirnetX Holding And 3 Other Stocks Under $1 Insiders Are Aggressively Buying

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